What are the Compounding offenses under Information Technology Act?

By Ashutosh Vinay

Published on: February 4, 2024 at 12:45 IST

The Information Technology (IT) Act, 2000 is a set of rules for the digital world in India that one should abide by. The Act was enacted to tackle problems related to technology and electronic actions. Section 77A among the many sections stands out as it deals with ‘Compounding of Offences’.

The term “compounding” refers to the settlement of a legal dispute between the accused and the victim by mutual agreement, usually involving the payment of a sum of money or other conditions specified by the law.

Under the Information Technology Act Framework, the court with the authority to hear the case may allow the compounding of offenses, excluding those that carry a punishment of life imprisonment or a term exceeding three years under the applicable law.

In this article we will be dealing with offence which are compoundable in nature as per Information technology Act.

The Section establishes that certain offenses can be compounded, meaning the legal proceedings can be settled by mutual agreement between the accused and the victim.

(1) Conditions for Compounding:

  • A Court of competent jurisdiction is empowered to compound offenses, excluding those for which the punishment is life imprisonment or imprisonment for a term exceeding three years under the relevant Act.
  • The Court is restricted from compounding offenses if:
    • The accused, due to a previous conviction, is liable to enhanced punishment or a punishment of a different kind.
    • The offense affects the socio-economic conditions of the country.
    • The offense has been committed against a child below the age of 18 years or a woman.

(2) Application for Compounding:

  • The person accused of an offense under this Act has the right to file an application for compounding in the court where the offense is pending trial.
  • The procedural provisions of Section 265B and 265C of the Code of Criminal Procedures, 1973, shall be applicable to the compounding process.

(3) Application Process:

The accused can initiate the compounding process by filing an application in the court where the offense is pending trial.

(4) Procedural Application:

The Code of Criminal Procedures, specifically Sections 265B and 265C, governs the procedural aspects of compounding.

Compoundable Offenses under Section 77A of The Information Technology (IT) Act cover a variety of misconducts that take place in the digital realm, some of them are as following.

Section 71: Penalty for misrepresentation

  • Penalty: The offense is punishable with imprisonment for a term that may extend to one year or with a fine that may extend to one lakh rupees, or with both.
  • Nature of Offense: This section pertains to misrepresentation in the context of electronic transactions or information technology.
  • Legal Categories: The offense is non-cognizable, bailable, and compoundable.

Section 72: Penalty for Breach of confidentiality and privacy

  • Penalty: The offense is punishable with imprisonment for a term that may extend to two years, or with a fine that may extend to one lakh rupees, or with both.
  • Nature of Offense: This section pertains to the breach of confidentiality and privacy in the context of electronic transactions or information technology.
  • Legal Categories: The offense is non-bailable, compoundable, and cognizable.

Section 73: Penalty for publishing electronic signature Certificate false in certain particulars

  • Penalty: The offense is punishable with imprisonment for a term that may extend to two years, or with a fine that may extend to one lakh rupees, or with both.
  • Nature of Offense: This section pertains to the publication of false electronic signature certificates, with a focus on specific particulars.
  • Legal Categories: The offense is non-bailable, compoundable, and cognizable.

Section 74: Publication for fraudulent purpose

  • Penalty: The offense is punishable with imprisonment for a term that may extend to two years, or with a fine that may extend to one lakh rupees, or with both.
  • Nature of Offense: This section pertains to the publication of information for fraudulent purposes, possibly related to electronic transactions or information technology.
  • Legal Categories: The offense is non-bailable, compoundable, and cognizable.

Compounding offenses under the Information Technology Act offer a pragmatic approach to dispute resolution, promoting settlements and reducing the burden on the legal system. However, it is essential for parties involved to carefully consider the nature of the offense, past convictions, and societal impact before seeking compounding. The legal framework aims to strike a balance between promoting settlements and ensuring that serious offenses are appropriately addressed. As technology evolves, ongoing amendments to the Information Technology Act may impact the compounding provisions, making it crucial for stakeholders to stay informed about the latest legal developments.

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